I tried connecting the ipad2 to the aux input of my Yamaha 7.1 and the iPad turns off. It does not work . What would work is a male-female cable To connect the iPad to my iPod dock on the Yamaha amplifier.

Yes A big Yes if you have finer optic . use a hifi to toss link known as mini toss link , or you can get a toss link adaptor. You mini jack for head phone it a finer optic out out as well. I was surprised too! What a difference to sound.